After a long hiatus I succumbed and reinstalled MTW2 + Kingdoms once and started with England on H/H. What everyone said, abandon Ireland to relieve economic issues. Of course, if you love challenge, don't. Disband everyone from the Irish contingent except for one full stack of the best units you then use to attack Wales. They actually put up a pretty hard fight and trounced me around a bit (maybe I'm just rusty though). Instead of disbanding my expensive cavalry, I used them to attack Wales immediately as well to good effect, doubly so since I made sure quite a bit of them died in the process. My attack consisted of one stack from Ireland to threaten the capital and two stacks coming in from the east in a pincer move, supported by mercs as units died and finally boosted by some late arrivals in the form of new generals and elite cavalry. Along the way I further diluted my expensive heavy cavalry pool by attacking rebel strongholds, thus gaining experience for generals and cutting military budget.
It's turn 10 and I'm sieging the Welsh capital, having wiped them out otherwise. Having built land clearances, roads and ports everywhere I can the economy is finding it's feet. Upgrading to Merchant's Wards and Shipmakers along the coast by turns 9 and 10. I have one stack, including some of the expensive starting cavalry, sitting on the Scottish border, draining money and looking menacing but I don't want the clans to get ideas too soon. Some of the veterans from Wales are already heading for retraining but I'm having a hard time deciding who to attack next, or if I'll stay put until turn 20 or so while I build infrastructure for a serious economic boost and advanced units.
Gloucester, Lancaster and Nottingham were chosen for further castle development, I turned the rest into towns during turns 8-10 (should have done that sooner I guess). This is another move I would suggest early on, given the size of the campaign map I honestly think three well developed castles should be enough (if not too much!) to produce the troops you need: add one or two smartly located larger towns that constantly upgrade blacksmiths, if you don't have the time to do that in your castles, and you are set to produce and retrain elite armies with speed.
A nice bonus are the tin resources in the SW near Launceston, two traders both rake 300+ worth of income each turn. Now that I have money to build I'm planning to send two other traders to Lincoln with the nice sheep resources, they'll pay themselves back in about three rounds and from then on it's profit only.
All in all doing pretty good in my estimation.
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